Saturday Mar 14, 2026
Saturday Mar 14, 2026
Friday, 13 March 2026 00:08 - - {{hitsCtrl.values.hits}}
By Wealth Trust Securities
The Treasury Bond auctions conducted yesterday produced a positive outcome, registering weighted average rates below or in-line with prevailing secondary market level.
However, auction went undersubscribed only raising Rs. 87.02 billion or 66.94% out of Rs. 130 billion on offer at the first and second phases, across three available maturities. The bids received to accepted amount ratio stood at 2.45 times.
Maturity-wise the results were as follows:
The shorter tenor 01.03.30 maturity was issued at a weighted average yield of 9.63%, however went undersubscribed at the first and second phases.
The 15.06.34 maturity was issued at the weighted average yield of 10.70%. This tenor was also undersubscribed.
The longer tenor 15.08.36 maturity was fully subscribed at the 1st phase and issued at a weighted average yield of 10.80%.
An issuance window is now open only on the 2036 tenor until 3.00 pm of 13.03.2026 at the Weighted Average Yield Rates (WAYR) determined for the said ISIN at the auction, up to 10% of the respective amount offered (given in the graph are the details of the auction).
The secondary Bond market yesterday remained subdued both before and after the Treasury Bond auction. Yields were seen consolidating around prevailing levels as global headwinds stemming from the ongoing US-Iran conflict drove traders to take a conservative approach.
Accordingly, the 01.05.27 and 15.09.27 maturity traded at the rates of 8.40% and 8.55% respectively. The 15.06.29 maturity traded at the rate of 9.50%. The 15.09.29 and 15.12.29 maturity traded at the rates of 9.56% and 9.60%-9.61%. The 01.11.33 maturity traded at the rate of 10.50%.
The total secondary market Treasury Bond/Bill transacted volume for 10 March was Rs. 37.90 billion.
In money market, the money market net liquidity surplus was recorded at Rs. 319.48 billion yesterday. The Domestic Operations Department (DOD) of the Central Bank of Sri Lanka was seen draining out an amount of Rs. 150 billion by way of overnight repo auction at a weighted average rate of 7.44% while an amount of Rs 169.55 billion was deposited at Central Bank’s SDFR (Standing Deposit Facility Rate) of 7.25%.
An amount of Rs 0.07 billion was withdrawn from the Central Bank’s SLFR (Standing Lending Facility Rate) of 8.25%. The weighted average rates on overnight call money and Repo were recorded at 7.61% and 7.60% respectively.
Forex market
In the Forex market, the USD/LKR rate on spot contracts were seen closing the day at Rs.311.00/311.15 as against its previous day’s closing level of Rs. 310.85/310.95.
The total USD/LKR traded volume for 10th March 2026 was $ 56.50 million.
(References: Public Debt Management Office- Ministry of Finance, Central Bank of Sri Lanka, Bloomberg E-Bond trading platform, Money broking companies)
